Question 1

Global brand trust and customer relationships can usually be built through all of the following except:
A) Event sponsorships
B) Public relations programs
C) Clubs and usage programs
D) Mass advertising

Accepted Answer

Mass advertising is more focused on reaching a wide audience to promote products or services rather than building trust and relationships with customers. Event sponsorships, public relations programs, and clubs/usage programs are more interactive and can foster a closer connection with the audience.

Question 2

Protecting the domestic market position through economic consolidation, political influence or enhanced customer responsiveness while contemplating international expansion moves is what type of counter-strategy to foreign competition:
A) International defensive strategy
B) Restructuring strategy
C) International offensive strategy
D) National defensive strategy

Accepted Answer

National defensive strategy is focused on protecting a company's domestic market through various means such as economic consolidation, political influence, or improving customer responsiveness, which aligns with the description given.

Question 3

When market rivals use superior resources to produce greater varieties of products to crowd out the market leader, this is a(n):
A) Flanking strategy
B) Encirclement strategy
C) Flanking strategy.
D) Frontal assault strategy.

Accepted Answer

An encirclement strategy involves surrounding the market leader by offering a wider range of products, effectively crowding them out by appealing to a broader segment of the market. This strategy uses superior resources to challenge the leader's position from all sides.

Question 4

Which of the following is false concerning the transfer of personal selling and sales force management practices into foreign markets:
A) They are prone to adaptation when subsidiary products require long distribution channels and much customizing
B) They are more likely to be standardized when subsidiary products are uniform worldwide, when distribution channels are short and personal selling is the key promotional medium
C) Head offices interfere little with strategic decisions concerning sales goals and what type of sales force to use (own sales force versus independent sales forces)
D) Subsidiary offices determine sales presentation content and administrative reporting procedures

Accepted Answer

C is false because head offices often play a significant role in strategic decisions concerning sales goals and the type of sales force to use, reflecting the importance of aligning these decisions with the overall corporate strategy and ensuring consistency across different markets.

Question 5

Some of the key characteristics of major global brands include all of the following except:
A) They command a marketplace following even during adverse circumstances
B) They have physical attributes that can be easily communicated but easily forgotten
C) They have innate quality and robustness of image built over time
D) Consumers form relationships with them

Accepted Answer

Major global brands are known for their memorable attributes, not ones that are easily forgotten. These brands build strong, memorable images and relationships with consumers, which are not easily overlooked.

Question 6

"First mover" advantages in new emerging markets include which of the following:
A) Key market competitive strategies
B) Gaining first access to new customers, suppliers and distributors
C) The ability to undermine established rivals in their home markets
D) None of the above

Accepted Answer

First mover advantages include gaining first access to new customers, suppliers, and distributors, which allows a company to establish strong relationships and brand recognition before competitors enter the market.

Question 7

When foreign competitors enter emerging markets, local firms can use ____________ strategies that take advantage of local market expertise to move into markets that have similar characteristics to their own:
A) Contender
B) Defender
C) Dodger
D) Extender

Accepted Answer

Extender strategies involve leveraging a firm's knowledge of its local market to expand into foreign markets with similar characteristics, allowing the firm to capitalize on its existing strengths and expertise.

Question 8

When global competitors enter emerging markets, local firms can make use of their superior local knowledge and leverage their distribution capabilities to maintain their market positions. This is a(n):
A) Dodger strategy
B) Defender strategy
C) Contender strategy
D) Extender strategy

Accepted Answer

A Defender strategy involves leveraging a firm's existing resources, capabilities, and local market knowledge to defend its market position against competitors. In this context, using superior local knowledge and distribution capabilities to maintain market position aligns with the Defender strategy.

Question 9

Forming industry-wide groupings to gain critical mass in protecting domestic markets against foreign competitors is what type of strategy:
A) Collaborating with global rivals
B) Government-sponsored trade protection
C) Domestic collaboration
D) Industry cartel strategy

Accepted Answer

Domestic collaboration involves forming alliances within an industry to strengthen the position against foreign competitors.

Question 10

Brand personalities such as Levi's, Marlboro's and those of many SUVs are based on which major brand attribute:
A) Sophistication
B) Ruggedness
C) Competence
D) Excitement

Accepted Answer

These brands are often associated with ruggedness, reflecting qualities of toughness and outdoorsy, adventurous spirits, which aligns with their marketing and brand positioning strategies.

Question 11

Global branding contributes to strategy through which of the following options;
A) Components such as Intel that confer additional quality onto existing brands
B) Silver bullet brands that confer auras onto company products worldwide
C) The ability to extend product lines upwards or downwards into new segments
D) None of the above
E) All of the above

Accepted Answer

Global branding contributes to strategy in multiple ways, including enhancing existing brands with high-quality components (like Intel), creating powerful brand auras that benefit products worldwide, and providing flexibility to extend product lines into new market segments.

Question 12

The keys to managing successful global alliances include all of the following except:
A) Setting out major objectives of the alliance in a pre-nuptial agreement
B) Alliances should be keyed towards short term objectives rather than long term competitive advantages
C) Remembering that alliances are 'races to learn'
D) Picking a compatible partner and taking time to establish a relationship

Accepted Answer

Alliances should be focused on long-term competitive advantages rather than just short-term objectives. This approach ensures sustainability and growth for the involved parties over time.

Question 13

Which of the following is a true statement about advertising strategy standardization:
A) The availability of global media and advertising agencies have made standardization more difficult
B) Many multi-country campaigns try to standardize the sales platform but allow local conditions dictate creative executions
C) Many multi-market campaigns adapt sales platforms but insist on standardized creative executions
D) Legal restrictions or local customs are not usually influential in forcing changes in advertising messages

Accepted Answer

Standardization in advertising strategy often involves using a consistent sales platform across different markets, while allowing for adjustments in creative executions to accommodate local preferences, cultural nuances, and language differences. This approach enables brands to maintain a coherent global image while being sensitive to local market dynamics.

Question 14

Attacking market segments ignored or under-served by competitors is which type of offensive competitive strategy:
A) Encirclement strategy
B) Frontal assault strategy
C) Bypass strategy
D) Flanking strategy

Accepted Answer

Flanking strategy involves targeting market segments that are not well-served by competitors, allowing a company to establish a strong presence in less contested areas.

Question 15

An international firm is reformulating, renaming and repackaging products from multiple markets to build a global brand portfolio. The company is using what type of portfolio-building strategy:
A) Geographic extensions
B) New product development
C) Buying and selling of brand businesses
D) Consolidation from existing lines

Accepted Answer

The company is consolidating existing products from multiple markets into a unified global brand portfolio, which aligns with the strategy of consolidation from existing lines.

Question 16

Geographically-based competitive strategies that focus on Latin America, Asia, or Eastern Europe are termed:
A) Key market strategies
B) Emerging market strategies
C) Home market attack strategies
D) All of the above

Accepted Answer

Emerging market strategies specifically target regions like Latin America, Asia, or Eastern Europe, where economies are in the process of rapid growth and industrialization, offering unique competitive opportunities.

Question 17

"Attack is the best form of defense" and opting for global cost leadership or global differentiation strategies is what type of counter-strategy for global competition:
A) International offensive strategy
B) Restructuring strategy
C) National defensive strategy
D) International defensive strategy

Accepted Answer

Opting for global cost leadership or global differentiation strategies as a means to "attack" in the global market aligns with an International offensive strategy. This approach involves proactively expanding into new markets or increasing market share in existing markets by leveraging competitive advantages, rather than merely defending against competitors' moves.

Question 18

Which of the following is not a characteristic of global alliances:
A) Often involve parts of corporate supply chains rather than entire supply chains
B) They are not usually permanent
C) They tend to be equity-based rather than contractually-based relationships
D) They often involve divisions of companies rather than entire firms

Accepted Answer

Global alliances are typically contractually-based rather than equity-based. This means that the partnerships are formed through agreements and contracts rather than through the exchange or sharing of company stock or ownership stakes.

Question 19

Brand personalities based on reliability, intelligence and success such as IBM, Sony and the Financial Times are based on what major brand attribute:
A) Excitement
B) Sophistication
C) Competence
D) Sincerity

Accepted Answer

These brands exemplify the brand attribute of competence, as they are perceived as reliable, intelligent, and successful, which are key characteristics of a competent brand.

Question 20

Seeking tariff protection against foreign import competition is what type of counter-strategy against global rivals:
A) Government sponsored protectionism
B) Collaborating with global rivals to protect the domestic market
C) Collaborating with domestic rivals to protect the home market
D) Cooperating with foreigners to learn their secrets

Accepted Answer

Government-sponsored protectionism refers to actions taken by a country's government to protect its domestic industries from foreign competition, often through tariffs, quotas, or other trade barriers. This is a counter-strategy against global rivals by seeking tariff protection.

Quiz 9: Global and Multi-Market Strategies

Global brand trust and customer relationships can usually be built through all of the following except:

Protecting the domestic market position through economic consolidation, political influence or enhanced customer responsiveness while contemplating international expansion moves is what type of counter-strategy to foreign competition:

When market rivals use superior resources to produce greater varieties of products to crowd out the market leader, this is a(n) :

Which of the following is false concerning the transfer of personal selling and sales force management practices into foreign markets:

Some of the key characteristics of major global brands include all of the following except:

"First mover" advantages in new emerging markets include which of the following:

When foreign competitors enter emerging markets, local firms can use ____________ strategies that take advantage of local market expertise to move into markets that have similar characteristics to their own:

When global competitors enter emerging markets, local firms can make use of their superior local knowledge and leverage their distribution capabilities to maintain their market positions. This is a(n) :

Forming industry-wide groupings to gain critical mass in protecting domestic markets against foreign competitors is what type of strategy:

Brand personalities such as Levi's, Marlboro's and those of many SUVs are based on which major brand attribute:

Global branding contributes to strategy through which of the following options;

The keys to managing successful global alliances include all of the following except:

Which of the following is a true statement about advertising strategy standardization:

Attacking market segments ignored or under-served by competitors is which type of offensive competitive strategy:

An international firm is reformulating, renaming and repackaging products from multiple markets to build a global brand portfolio. The company is using what type of portfolio-building strategy:

Geographically-based competitive strategies that focus on Latin America, Asia, or Eastern Europe are termed:

"Attack is the best form of defense" and opting for global cost leadership or global differentiation strategies is what type of counter-strategy for global competition:

Which of the following is not a characteristic of global alliances:

Brand personalities based on reliability, intelligence and success such as IBM, Sony and the Financial Times are based on what major brand attribute:

Seeking tariff protection against foreign import competition is what type of counter-strategy against global rivals: